• Made-in-Vietnam products awarded

Products available in cities…

Since the campaign started two years ago, made-in-Vietnam products have gained a firm foothold in the domestic market, accounting for 90-95 percent of the goods sold in supermarkets.

They are even displayed prominently on the shelves in many major supermarket chains such as Big C, Fivimart, and Coop Mart.

As a result, Vietnamese consumers are paying more attention to domestic products. According to the Deputy Minister of Industry and Trade (MoIT), Ho Thi Kim Thoa, more than 70 percent of Vietnamese people now want to use locally-made products, much higher than the 50 percent in 2010 and 28 percent before the campaign was launched.

…but not in rural areas

However, unlike in big cities, Vietnamese goods are unfamiliar to people in rural areas, especially in remote regions where Chinese products are flooding the market.

In response to the campaign, the Domestic Market Department under the MoIT has launched a programme to bring made-in-Vietnam products to rural areas but, the Vietnam Farmers’ Union says more than half of the farmers do not know about the campaign.

The problem was attributed to irregular distribution and promotions in the countryside. In addition, many rural businesses sell cheap Chinese or low-quality goods, which threaten to damage the prestige of Vietnamese products.

According to specialists, domestic businesses are not paying due attention to rural consumers, which account for 70 percent of the population.

Ignoring ordinary customers

This can be seen in the textile and garment sector with many famous local brand names providing luxury goods, such as Viet Tien, NEM, and Garment 10. These products are rather costly, making them inaccessible to low and even middle-income earners.

Vietnam has a potential retail market, with turnover of around US$39 billion in 2009, US$44 billion in 2010, US$50 billion in 2011, and an estimated US$57 billion in 2012. Although this market has attracted leading foreign investors, businesses have not fully exploited its great potential.